Real Assets Adviser

October 1, 2015: Vol. 2, Number 10

$195.00 Add To Cart

From the Current Issue

Lessons of the Father: Peter Raimondi of Boston Private Wealth learned early in life about starting from scratch

Peter Raimondi was just 17 years old the day the earth stood still.

It happened when his father returned home from work, much as usual, but this time he was not inquiring about the evening’s dinner entrée. Rather, he announced to his family of six that he did not have a job anymore, after having worked his whole professional life running a business of his own creation. Everything the elder Raimondi had spent his life building had been wrested away, the loss of which was now endangering the solvency of his family.

Practicing What You Preach: A shocking number of wealth advisory firms stagnate or wither for lack of a strategic plan for growth

Everything changes and nothing stands still.

Even a cursory review of the past decade highlights this truth. Yet as many financial advisers close out 2015, they will make no plans for their businesses to grow, change or adapt in 2016. In fact, according to The Future of Practice Management study conducted by the FPA Research and Practice Institute, a research entity of the Financial Planning Association, half of the nearly 2,400 advisers studied did not have a business plan, and 46 percent did not have a plan in place for their own retirement. While clearly ironic in a profession that expounds the virtues of planning as a fundamental part of clients’ long-term financial success, it could also be an indication of a lack of direction among many of today’s financial planning firms. 

Cutting Costs: REITs should re-examine external property management and what this means for Wall Street

The public Real Estate Investment Trust (REIT) sector is rapidly evolving and has recently crossed the trillion-dollar threshold in total capitalization. In addition, there are many new REITs in registration under the Jobs Act, and public REITs actually had record industry index investment returns in 2014. However, there are still strides to be made, specifically when it comes to how REITs determine their property management structure. 

Homeownership Hits 48-Year Low: Renting (rather than buying) single-family homes has become popular for many reasons

Back in 1967, Lyndon Johnson was our President, Sgt. Pepper’s Lonely Hearts Club Band topped the Billboard charts, a gallon of gas only cost 33 cents, and the homeownership rate was 63.3 percent.

In the second quarter of 2015, Barack Obama was our President, See You Again topped the Billboard charts, a gallon of gas cost $2.80 and was considered cheap, and the U.S. homeownership rate fell below 63.5 percent for the first time in 48 years!

Target Acquired: As the target-date fund grows in popularity, real estate is finding its place in the mix

Like most advisers, you may often find yourself pressed for time, with seemingly not enough hours in the day to effectively run your practice and position your business for growth. On average, advisers report spending just 60 percent of their time in client-facing activities, with the rest divided between administrative activities, investment management, and raining/professional development, according to Cerulli Advisor Metrics.

Real Assets and Liquidity: Lies, damned lies, and statistics

Alternative investment strategies continue to offer the potential for increasingly unique sources of enduring diversification. It may be helpful to examine the growth of alternatives. The NACUBO–Commonfund Study of Endowments over the past 10 years shows that in June 2012, endowments allocated 54 percent of AUM to alternative strategies. The alternatives allocation breakdown is 36 percent to hedge fund strategies, 25 percent to private equity, 15 percent to energy and natural resources, 13 percent to private equity real estate, 7 percent to venture capital, and 4 percent to distressed debt.

Forgot your username or password?

Close your account?

Your account will be closed and all data will be permanently deleted and cannot be recovered. Are you sure?